LEGISLATIVE FRAMEWORK TO ENABLE AND EXPAND THE SCOPE OF ELECTRONIC PROCESSING OF INFORMATION

LEGISLATIVE FRAMEWORK TO ENABLE AND EXPAND THE SCOPE OF ELECTRONIC PROCESSING OF INFORMATION

In order to enable and expand the scope of electronic processing of information, following proposals shall be considered:

-Adequate legislative backing for processing of information and documents so obtained shall be provided to Assessing Officer.

-Assessing Officer shall reopen the case under Section 147 on the basis of the information received or documents obtained pursuant to Section 133C.

-Further, the scope of adjustments at the time of processing of returns under Section 143 (1) has been expanded. It is proposed that adjustments can be made based on the data available with the Department in the form of audit report filed by the assessee, returns of earlier years of the assessee, 26AS statement, Form 16, and Form 16A. However, before making any such adjustments, intimation shall be given to the assessee to reply as to why no adjustments shall be made. However, if no response is received within thirty days of issue of such intimation, the processing shall be carried out incorporating the adjustments.

The above amendment has expanded the scope of adjustment and also fixed a certain time-frame for response which is welcomed.